The man tasked with reviewing the devastating Maribyrnong floods resigned because of a perceived conflict of interest rather than an actual one, the Victorian premier says.
Nick Wimbush stepped aside as independent lead of the Melbourne Water review after it was revealed he was the chair of a Moonee Valley planning panel in 2015.
The Age newspaper reports Mr Wimbush was the sole person on the panel when Melbourne Water requested flood overlay changes for part of the Rivervue Retirement Village.
Dozens of those properties were inundated when the Maribyrnong River broke its banks in October.
Melbourne Water denies Mr Wimbush had to investigate or consider any submissions relating to the site in 2015, as it had already been resolved by the water body and Moonee Valley City Council.
But the organisation on Tuesday night confirmed it would appoint a new independent lead for the Maribyrnong flood review.
"Mr Wimbush's appointment met all probity and appointment criteria and he was eminently qualified to undertake the role," Melbourne Water said in a statement.
"This position was confirmed on review by an independent probity advisor before his appointment."
Premier Daniel Andrews maintained there was no actual conflict of interest and Mr Wimbush only stepped aside over a perceived conflict.
"He's made a judgment so as to protect the process," Mr Andrews told reporters on Wednesday.
The premier also denied Melbourne Water was essentially investigating itself.
"They're doing an inquiry and a review into that piece of critical infrastructure as it's seen by some and its impact with a king tide and a massive rainfall event and a flood," he said.
Opposition Leader John Pesutto said there was a conflict of interest the government needed to explain.
"We're concerned Melbourne Water, by its conduct to date, doesn't seem to get how important it is that whoever looks into this is entirely independent," he told reporters.
"If he's been appointed and removed so quickly, clearly there was a problem."
Public submissions for the review opened in January, three months after the river broke its banks and inundated more than 500 properties.
Emergency flood warnings and potential mitigation measures will not be assessed in the review, with the focus instead on the impact of the Flemington Racecourse levee and whether flood modelling should change.
Victorian Greens deputy leader Ellen Sandell called the review too limited and the party on Wednesday introduced a motion to the upper house calling for the establishment of a parliamentary inquiry.
"The community are rightly outraged that the Labor government seems to want to sweep important questions about the flood under the carpet," Ms Sandell said in a statement.
Mr Andrews said the government would not pursue a separate parliamentary inquiry, saying the Inspector-General for Emergency Management, Emergency Management Victoria and Melbourne Water were the appropriate bodies to investigate.
"Let's let hydrologists and others who are experts in these issues of floodwater ... get on and do their work and not pre-empt that," he said.
"And certainly not turn this into a series of political games."
The opposition would back a full parliamentary inquiry, Mr Pesutto said.